updated 10:35 am EST, Wed February 2, 2011

SanDisk, Imation settle differences out of court

SanDisk and Imation on Wednesday announced they had come to a cross-license deal that will allow the latter to use the former's patents in its flash memory products. The agreement settles two cases filed by SanDisk in Federal District Court against Imation that are believed to date back to 2007. The deal will see Imation pay royalties to SanDisk for technology used in its USB flash drives and solid state drives.

Imation also entered into a stipulated judgment of infringement and validity in SanDisk's favor regarding US Patent 7,137,011, which covers the use of certain encryption technology in a memory card. Specific details of the deal haven't been revealed.

SanDisk's two infringement cases against Kingston over the same patents remain ongoing.